Is it legal for a company to pay its part time employees cash and not have to report any payroll taxes?
2007-05-20 05:54:52 · 2 answers · asked by Butterfly Kisses 2 in Business & Finance ➔ Taxes ➔ United States
That is what I thought. This is for a assignment and I just want to make sure I am answering it right.
2007-05-20 06:08:07 · update #1
No, all income should be reported. Some companies will pay their part time person by a personal check and cash it for them. They write this off to miscellaneous expense because it is less than $100 per check.
The employee is the one that lose because their is no record of employment or workers compensation benefits.
When I was in high school I worked on the weekends as a cashiers at a car wash. He would pay me in cash and I signed a receipt that I received the money. He paid all the guys that worked there by check and he reported their earning to the IRS.
2007-05-20 06:07:50 · answer #1 · answered by D S 4 · 1⤊ 0⤋
NO!!!!!
2007-05-20 06:00:21 · answer #2 · answered by Judy 7 · 0⤊ 0⤋